A M.I. ELEC : revenue, balance sheet and financial ratios

In 2025, A M.I. ELEC achieves revenue of 1.2 M€. Revenue is growing positively over 10 years (CAGR: +4.6%). Significant drop of -31% vs 2024. After deducting consumption (350 k€), gross margin stands at 873 k€, i.e. a rate of 71%. This ratio measures the ability to generate value from commercial activity. EBITDA (= Gross margin - Personnel expenses - Taxes) reaches 152 k€, representing 12.4% of revenue. Warning negative scissor effect: despite revenue change (-31%), EBITDA varies by -48%, reducing margin by 4.2 pts. This reflects costs rising faster than revenue. This level of operating margin is satisfactory for the sector. Ultimately, net income (= EBIT +/- financial result +/- exceptional - corporate tax) amounts to 129 k€, i.e. 10.5% of revenue. This profit can be retained or distributed to shareholders.

The debt ratio (= Financial debt / Equity x 100) stands at 0%. This very low level reflects a solid financial structure, offering significant room for future investments or acquisitions. Financial autonomy (= Equity / Total assets x 100) reaches 70%. This high autonomy means the company finances most of its assets through equity, a sign of strength. Cash flow represents 11.1% of revenue. Cash flow measures resources generated by operations, available for investment and debt repayment. This high level provides strong self-financing capacity.

The liquidity ratio (= Current assets / Current liabilities) stands at 368.90. Concretely, the company has €2 of liquid assets for every €1 of short-term debt: no cash risk within 12 months. The interest coverage ratio (= EBIT / Interest expenses) is 0.1x. Danger: operating income does not cover interest charges, unsustainable situation.

Working capital requirement (WCR) measures the cash timing gap between customer collections and supplier/inventory payments. Average customer payment term: 100 days (formula: Customer receivables / Revenue incl. VAT x 360). Supplier term: 80 days. The company must finance 20 days of gap between collections and payments. Inventory turnover is 40 days (= Average inventory / Cost of goods x 360). Fast turnover, sign of good inventory management. Overall, WCR represents 130 days of revenue, i.e. 442 k€ to permanently finance. Over 2016-2025, WCR increased by +30%, requiring additional financing.

Based on 283 transactions of similar company sales (all years), the value of A M.I. ELEC is estimated at 182 860 € (range 82 397€ - 549 687€). With an EBITDA of 152 179€, the sector multiple of 1.0x is applied. The price/revenue ratio is 0.18x (conservative valuation). This multiples method compares the actual sale price of similar companies to their financial indicators (Revenue, EBITDA, Net Income). It provides a market-based indicative estimate.